Automotive sector hoping pace of electric vehicle transition isn’t slowed

Commenting on the Autumn Statement, Chris Knight, UK Automotive Partner, KPMG, said

Commenting on the Autumn Statement, Chris Knight, UK Automotive Partner, KPMG, said

“The automotive sector will be hopeful that the overall measures announced by the Chancellor will help to stabilise the UK economy and lower some of the inflationary costs that they have faced in recent times.  It’s vital that the UK is viewed as being a good place for inward investment - and the global race to be a world leader in electric vehicle production at scale is well underway.  To ensure that the UK retains a position of automotive strength in the medium term, both industry and government need to ensure an ecosystem that includes gigafactories and investment in battery technology development, as well as related skills provision.

“Electric vehicle development, production and sales have all been a significant positive during a time of unprecedented challenge for the UK automotive sector.  Whilst not until 2025, the sector will be hoping that introduction of taxes on electric vehicles does not slow the pace of transition – which is already threatened by rising energy prices and a weakening of consumer spending power.

“The UK automotive sector will be nervously awaiting the outcome of the government’s review into energy price support for businesses beyond the end of March.  Exposure to rising energy prices during 2023 would further threaten the global competitiveness of the UK automotive industry and hinder its ability to invest in innovation, research and development.”




Media contact:

Steven Reilly-Hii, Media Relations Manager, KPMG UK, E: , T: 07510 376635.

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